Transaction examples

The following examples cover most of the use cases.

Information – Assumptions about all the following examples

• The initial transaction amount is €150 and is initiated by the cardholder
• At the transaction time, the cardholder's wallet has a balance of €1000
• At the transaction time, the cardholder has no pending transactions. Therefore, their Balance and Authorized Balance are identical.

Accepted transaction

• The cardholder makes a purchase (online or in a physical shop)
• The cardholder's bank accepts the authorization.
• The payment is received by the merchant.

#	Operation	Status	Amount	Balance	Authorized Balance
				1000	1000
1	Autorization	A	150	1000	850
2	Settlement	S	150	850	850

Declined transaction

• The cardholder makes a purchase (online or in a physical shop)
• The cardholder's bank declines the payment.

#	Operation	Status	Amount	Balance	Authorized Balance
				1000	1000
1	Decline	I	150	1000	1000

Canceled transaction

• The cardholder makes a purchase (online or in a physical shop)
• The cardholder's bank accepts the authorization.
• The transaction is canceled by the merchant, before the settlement

#	Operation	Status	Amount	Balance	Authorized Balance
				1000	1000
1	Autorization	A	150	1000	850
2	Reversal	V	150	1000	1000

Gas station transaction

• The cardholder requests a €150 authorization at a gas station before refilling their vehicle.
• The cardholder's bank accepts the authorization (#1).
• The cardholder actually fills for €90 of fuel.
• The difference between the authorization amount and the actual amount (€60) is reversed (#2)
• The actual amount (€90) is settled (#3)

#	Operation	Status	Amount	Balance	Authorized Balance
				1000	1000
1	Autorization	A	150	1000	850
2	Reversal	V	60	1000	910
3	Settlement	S	90	910	910

Specific case of automated fuel dispensers in the US and Canada

Please note that Treezor applies a fixed pre-authorized amount of €160 for all pre-authorization requests made in the USA or Canada for automated fuel dispensers (AFD) payments.

This applies to transactions with the following values:

• "mccCode":"5542"
• "paymentCountry":"USA" (or "CAN")
• "paymentLocalAmount":"1"

In such cases, additional information can be found in the authorizationNote:

• Specific to AFD: fixed amount authorization — Indicates that the fixed amount has been applied.
• Fixed amount adjustment — Indicates that the actual amount has been charged and the leftover, if any, is reversed.

Below is a sample of a cardtransaction.create webhook corresponding to our example. As previously described, the paymentLocalAmount is $1, and the paymentAmount is €160.

JSON

 {
	"merchantName": "SHELL",
	"merchantCity": "EVANSTON",
	"merchantCountry": "USA",
	"paymentLocalTime": "135911",
	"publicToken": "999999999",
	"paymentAmount": "160.00",
	"paymentCurrency": "840",
	"fees": "0.00",
	"paymentCountry": "USA",
	"paymentId": "1xxx63",
	"paymentStatus": "A",
	"paymentLocalAmount": "1.00"
}

Multi-settlement transaction

• The cardholder purchases multiple products on an internet shop
• The cardholder's bank accepts the authorization (#1).
• The merchant does a settlement per product (#2, #3)

#	Operation	Status	Amount	Balance	Authorized Balance
				1000	1000
1	Autorization	A	150	1000	850
2	Settlement	S	75	925	850
3	Settlement	S	75	850	850

Multi-reversal transaction

• The cardholder purchases multiple products on an internet shop
• The cardholder's bank accepts the authorization (#1).
• The merchant makes a cancellation per product (#2, #3)

#	Operation	Status	Amount	Balance	Authorized Balance
				1000	1000
1	Autorization	A	150	1000	850
2	Reversal	V	75	1000	925
3	Reversal	V	75	1000	1000

Non-Euro transaction

• The cardholder pays for service or products in a currency other than Euro, in a physical or internet shop.
• The cardholder's bank accepts the authorization at the current exchange rate (#1).
• The merchant cashes in the transaction at the settlement-time exchange rate

Information – Assumptions

• Exchange rate of £100 = €150 at authorization time
• Exchange rate of £100 = €160 at settlement time

#	Operation	Status	Amount	Balance	Authorized Balance
				1000	1000
1	Autorization	A	150	1000	850
2	Settlement	S	160	840	840

Refunded transaction

• The cardholder makes a purchase (online or in a physical shop)
• The cardholder's bank accepts the authorization (#1).
• The merchant settles the payment (#2)

#	Operation	Status	Amount	Balance	Authorized Balance
				1000	1000
1	Autorization	A	150	1000	850
2	Settlement	S	150	850	850

If the merchant decides to refund the transaction after settlement.

Accepted refund

#	Operation	Status	Amount	Balance	Authorized Balance
				850	850
3	Refund	R	-150	850	850
4	Settlement	S	-150	1000	1000

Refused refund

#	Operation	Status	Amount	Balance	Authorized Balance
				850	850
3	Declined	I	-150	850	850

Accepted transaction, without settlement nor reversal

• The cardholder makes a purchase (online or in a physical shop)
• The cardholder's bank accepts the authorization (#1).
• No settlements nor reversals occur.

The authorization remains active, and funds are blocked on the Authorized Balance.

#	Operation	Status	Amount	Balance	Authorized Balance
				1000	1000
1	Autorization	A	150	1000	850

If no further action is taken, the authorization is considered as expired after 10 days (on the night of the 10th to 11th day).

The Authorized Balance is then freed of this transaction.

#	Operation	Status	Amount	Balance	Authorized Balance
1	-	-	-	1000	1000

When the authorization expires:

• No cardtransactions.create webhooks are sent at all (Because no additional operations are generated).
• A balance.update webhook is sent.

Accepted transaction, refused afterwards

• The cardholder makes a purchase (online or in a physical shop)
• The cardholder's bank accepts the authorization (#1).
• The transaction is then refused within one to two hours (#2).

#	Operation	Status	Amount	Balance	Authorized Balance
				1000	1000
1	Autorization	A	150	1000	850
2	Decline	I	150	1000	1000

When an incident occurs on the scheme network, a previously approved authorization can fail to reach the acquirer. In such cases, the network catches the error and immediately triggers a transaction refusal.

Treezor is informed within 2 hours, and the transaction initially authorized (A) will be declined (I).

Direct settlement transaction

• The merchant bypasses the authorization and proceeds to a "Direct Settlement"

#	Operation	Status	Amount	Balance	Authorized Balance
				1000	1000
1	Settlement	S	150	850	850

Convoluted example

Consider the following scenario:

• A user has a balance of €1,000.
• The user orders 3 products at the same time on a marketplace (#1).
• One €100 product, a second €100 product and one €300 product.
• Later that day, the user tries to order a €700 product, but their authorized balance is insufficient (#2).
• The next day, the seller of the €300 product informs him that this product is not available anymore and cannot fulfill the order (#3).
• The user tries again to order that €700 product (#4).
• The sellers of the €100 products and €700 product inform them that they shipped their respective products (#5, #6, #7).
• One week later, the user returns one of the €100 products for a refund (#8, #9).

Associated wallet operations

#	Operation	Status	Amount	Balance	Authorized Balance
				1000	1000
1	Autorization	A	500	1000	500
2	Declined	I	700	1000	500
3	Reversal	V	300	1000	800
4	Autorization	A	700	1000	100
5	Settlement	S	100	900	100
6	Settlement	S	100	800	100
7	Settlement	S	700	100	100
8	Refund	R	-100	100	100
9	Settlement	S	-100	200	200

Explanations

• #2: Even though the user has a Balance of €1,000 at the time, their Authorized Balance is of €500, insufficient to authorize a €700 payment.
• #3: The unavailable €300 product is reversed, freeing up the Authorized Balance from €500 to €800.
• #4: The €700 purchase is now acceptable.
• #5,6,7: Each merchant of the marketplace receives an independent settlement
• #9: Refund appears as negative-value settlements